Can an Indian Company with Foreign Director / NRI buy agriculture land in MP ? I am based in UK and I recently got my citizenship. I haven't yet given my Indian Passport as I have some time. I know things become bit permanent when I wouldn't have Indian Passport. Personal Route 1. Can I as a individual buy land in MP ? Is there any limit on how much land I can buy as an Individual? Indian Company Route 1. Is Indian company able to buy Agriculture land ? Does it has an uppoer limit of how much land they can buy ? 2. Can I open a company with 1 Indian Director and me as a Foreign Director / NRI Director and then company buys Agriculture Land ? 3. I know Foreign Director can have shares can they have 51% or more ? I do not think we would be FDI as money would go from Foreign Account - NRI Account and there would be cash transaction while buying land. Gift Route : 1. Can any of my friend who can buy and then gift it to me ? Inheritance Route : 1. This route can it only be parents or siblings , cousins who can give property via inheritance? Is there a law for how much time since they acquired and then give it to me ?
Dear Sir,
NRI cannot buy an agricultural land in India if you do so the FEMA authorities could send you a notice and your land can be confiscated by the government and they can even charge you with a fine. NRI can only inherit agricultural land from a family member.
1. An individual can buy land in M.P. The limit varies depending on single crop. double crop and dry land. Maximum 30 acres of dry land can be bought by an individiual in M.P. The limit will incesae if it is purchased by a family wherein it will go t the maximum of 108 acres for dry land.
2. Indian Company cabn buy agricultural land for establishing project and there is no l;imit for that. However, project proposal shall have to be submitted before the competent authority and the land shall have to be converted within 3 years of buying.
3. Foreign Directors can not have 51% share of the capital of the Indian Company.
4. Agricultural land can be gifted and inherited in M.P. following the same rule of maximum limit.
2. Even though they have a Foreign Director yes? Do we still need to convert land after 3 years of buying if we are still planning to do agriculture and farming ? We aren't planning to do non agriculture activities after 3 years. 3. How much % of share capital of Indian company Foreign Director can hold ? 4. Are you saying a friend can gift agriculture land , yes?
1) You can form agricultural company with 49% of shares and Indian Director or relatives as 51% shares.
2) So you can keep Indian Director from your family relationship.
3) If you don't want to have 49% share than you can buy land for 60 months on lease and later on renew time to time.
1. Agricultural land cannot be bought by a NRI in India, since you are a foreign citizen it may not be possible.
2. An Indian company can buy agricultural land in MP state, there is no upper limit for individual but for company?
3. Yes, you may proceed.
Gift
1. Agricultural land cannot be transferred by a gift deed.
Inheritance:
It shall be as a legal heir to inherit the property left behind by the deceased and not by any other mode except by Will or intestate succession.
2. You can continue to do the agricultural work after three years also.
3. As you said it can be 51% also
4. as above
5. A friend cannot transfer the agricultural land by a gift deed
The Madhya Pradesh Ceiling on Agricultural Holdings Act, 1960 now allows any private players to buy agricultural land at madhta pradesh. However nri can't buy the same in India. You being nri can't buy the farm land in any manner but you can only inherit the same
an NRI cannot purchase agricultural land
2) you can acquire agricultural land by inheritance
3) for purchase of agricultural land by company better obtain permission from
state govt
4)
to intimate in writing the competent authority within 90 days from the date of acquisition that he shall get his land diverted to non-agricultural purpose”.
Even if you had purchased agriculture land, after obtaining UK citizenship, had to surrender it.
Company incorporated in India, can purchase agriculture land.
The ceiling for overall investment for FIIs is 24 per cent of the paid up capital of the Indian company and 10 per cent for NRIs/PIOs.
NO, gift will also surrender. Even inherited land cannot be retain by OIC/PIO/NRI etc.
1. That said 3 years condition is for converting the land for non agricultural use. You can start agricultural activities immediately after buying the land.
2. 49% share capital of an Indian Company can be held by a foreigner.
3. In M.P. gift deed for agricultural land can be registered by any body in favour of his friend.